Wholesalers acts as a lesion between manufacturers of commodities and other industries that are interesting in selling the same products. Along this distribution chain wholesalers usually purchase goods in large quantities and in turn sells them to retailers who ultimately supplies goods and services to consumers. Due to the available space at wholesale locations they are able to store products for distribution to retailers which reduces retailers storage costs. Wholesalers are able to store goods in large quantities which allow retailers to purchase in small quantities. Due to this option retailers are able to only purchase what is needed at that given point (Kotler & Keller, 2012). Additionally, because wholesalers are able to purchase goods …show more content…
The nature of the business of retailing puts retailers at a assumed risk of incurring costs because products are bought with the assumption that consumers will purchase. Additionally there are external factors that may also pose risks such as natural disasters, theft, spoilage and fire. In other circumstances retailers also extends financial credit to customers in the form of credit sales which facilitates the smooth transition from retailers to the marketplace. Retailers are in constant contact with customers which gives them the opportunity to research and study buyer’s behaviour. This involves collecting information about changes in customer preferences, perception and shifts in the demand curve. Through advertising within their stores retailers are able to exhibit and introduce existing and new products to the marketplace. Ultimately retailers are in the business of selling products to customers to achieve their goals of generating …show more content…
As compensation they charge a fee for this agreement. Agent and Brokers also differ from a merchant wholesaler because they do not own goods and services that they buy and sell. Agents works closely with buyers and sellers with more lasting businesses (Kotler & Keller, 2012). An example of an agent with this representation is a real estate agent who enters into a contract to sell a house or business to a consumer. The relationship exists until the need is met and at this point the agent collects a pre-determined
This case concerns Greene’s Jewelry Wholesale, LLC and former employee Jennifer Lawson. Greene’s sues Jennifer Lawson for breach of the confidentially agreement that was signed when first employed and Ms. Lawson counter-sues Greene’s for wrongful termination. Greene’s Jewelry Wholesale, LLC. is owned by Mary Jane and Allen Green, in Derry, New Hampshire. They own a warehouse and two storefronts originally starting back in the late 1950’s. Greene’s employs 502 individuals in a variety of departments which include sales and marketing, research and development, human resources, and manufacturing. The primary asset of Greene’s Jewelry is their secret patented process for creating a synthetic gold-colored material called “Ever-Gold,” which is used in
On the same note, it is well acknowledged that the competitiveness of any organization fundamentally depends on the workforce. Indeed, the workforce is recognized as the heart or living organism of any organization including hotels. It goes without saying that there is minimum likelihood that a restaurant where workers operate in unsafe conditions or are mistreated will offer services and products of the highest quality. Scholars note that employees always desire to work in institutions or restaurants that have high standards of integrity and strive to do the appropriate thing (Fox & Vorley, 2004 pp. 33). This is especially so for the new generation workforce, as well as in attracting the best talent in the industry. A reputation for responsibility and integrity has been recognized as crucial in motivating, as well as recruiting staff especially considering that individuals care about the principles and values that their employers wish to uphold. Scholars note that operating voluntarily to high ethical standards pertaining to environment and social responsibility can result in competitive advantage (Schlegelmilch et al, 2004, pp. pp 254). Customers and civil society groups have been increasingly vigilant in determining whether there is an ethical lapse in the manner in which employees are treated within the supply chain of any organization (Fox & Vorley, 2004 pp. 33). In fact, they have been pressurizing restaurants and other business entities to cut ties with any organization in their supply chain that is not ethical in its treatment of employees. Scholars note that the impression that a restaurant or business entity would create in terms of public relations both on the stakeholders and the customers is highly dependent on the ac...
In conclusion, retailers differ to attract different customer bases. Retailing proves to be rather complex because it “encompasses the business activities involved in selling goods and services to consumers for their personal, family, or household uses” (3). Wal-Mart and Apple Inc. strive to satisfy their consumers by appealing to them in different ways with the computers. The purchasing process differs between the two retailers as well. Overall, how one purchase a product, such as a computer shows how every process and activity we do in business plays a
To start off with, in a sense, wholesalers provide a major service to retailers and are crucial to the success of those retailers. One reason that the wholesalers are so important to retailers is that without the wholesalers, retailers would not have an accessible way to get their products. For example, if Macy’s was not connected with a wholesaler, they would not be able to gain products, therefore making it difficult to make a profit. Another reason that the wholesalers are very important is that they give the retailer a reason to mark up the product allowing them to make a profit. For instance, if a retailer purchases a product for $50, they can then mark the product up to $75 to make a $15 profit off of that item. Overall,
In recent times it has been well documented and reported that the way in which retailing is changing. Alongside the former methods of ‘’bricks and mortar’’ stores, modern day retailers must now ensure that their goods and services are available by means of various streams, including websites and mobile apps. (Benady, D. 2014) But it is not only retailing which have changed; the consumer is becoming savvier and increasingly sophisticated. Consumers are expecting more from retailers and now expect a ‘’seamless shopping experience’’ however way in which they may interact with the retailer. (Benady, D. 2014)
The demand for retail is driven by a number of factors including customer related aspects such as population size, population growth and existin...
Hansen, Torben, and Hans S. Solgaard. New Perspectives on Retailing and Store Patronage Behavior: A Study of the Interface between Retailers and Consumers. Boston, Mass: Kluwer Academic Publishers, 2004. USC Upstate Ebook. Web. 28 February 2011.
The data have shown customers’ interest; the retailers can serve their customers more effective when they know what their customer want. The product will catch customers’ attention because they know where exactly to put it. That lead to more product being sales and more money being generated. According to the video “How store track your shopping behavior”, from the study of men’s habit of shopping, they know how to get men pay attention to their products. They change it up a little bit and get a really interesting result:”85% increase in product touch, 44% increase in sales, and 38% increase in dollar sales”; that is huge increase numbers. That number show how impactful the study effects their business performances. It is the result of understanding their customers’ need and desire. The ultimate goal is to increase product sales. They have to depend on the customer to reach that goal. Making the customer feel comfortable and encourage them to buy more goods is a process toward that
The golf course could be classified as both once learned how to play well and getting enough experience, a person can use this experience and skills learned to teach students and charge them. The magazines could be both too if a person decides to buy a large amount of magazines to then resell them and make a profit.
Retailing consists of the sale of goods or merchandise from a fixed location, such as a department store, boutique or kiosk, or by post, in small or individual lots for direct consumption by the purchaser. Retailing may include subordinated services, such as delivery. Purchasers may be individuals or businesses. A "retailer" buys goods or products in large quantities from manufacturers or importers, either directly or through a wholesaler, and then sells smaller quantities to the end-users / consumers. Retail establishments are often called shops or stores. Retailers are at the end of the supply chain. Manufacturing
Costco Wholesale is a multi-billion dollar overall retailer with dispersion focus club operations in eight countries. They are the apparent pioneer in wholesale field, dedicated to quality in every zone of their business and respected for their unprecedented business ethics. Despite their immeasurable size and extension in overall improvement, they have continued giving an agreeable domain which their laborers thrive and succeed.
Second, some retailers are affected by economic factors more than other retailers. Being able to build big-box stores with a deep assortment of merchandise as well as knowledgeable employees is a luxury that only some firms can afford. Consequently, these more su...
Inventory management is a method through, which a business handles tangible resources and materials to ensure availability of resources for use. It is a collection of interdisciplinary processes including a full circle from the demand forecasting, supply chain management, inventory control and reverse logistics. Inventory management is the optimization of inventories of manufactured goods, work in progress, and raw materials. According to Doucette (2001) inventory management can be challenging at times; however, the need for effective inventory management is largely seeing more as a necessity than a mere trend when customer satisfaction and service have become a prime reason for a business to stand apart from its competition. For example, Wal-Mart’s inventory management is one of the biggest contributors to the success of the company;
There are a variety of approaches the retailers can stimulate problem recognition and motivate customers to visit their stores to buy their merchandise, for example, through internet mail, advertising and promotion, road show, visual merchandising, salespersons to stimulate customers need recognition and organizing morning market or midnight sales to motivate the customers to visit the stores to buy their
“It takes little effort to be a consumer. The simple act of buying a good or service is the only requirement for entering the club of consumerism, but in the free market economy the consumer is a special person” (Essock, 1978). Retail personnel seek to acquire buyers’ wants and needs in their products and hope to meet their customer’s desires, keeping their fingers crossed that they will return for more merchandise. Although those weekly, monthly, or even yearly shopping trips become second nature to customers, employees in the retail business thrive off these shopping routines, habits, and patterns. To find these patterns seems simple, but with an array of consumer characteristics the search can become complicated (“Types of